Been thinking this over a lot Regardless of what happens with inflation, the Fed will probably do close to nothing about it & still cut a lot They don’t think inflation is that big of a problem & are willing to “let them eat cake” to protect stocks Nothing has changed

Powell ultimately just cares about maintaining full employment and maximizing wealth effect He is a 70 year old private equity centimillionare and his entire network is from that world No one above 60 feels inflation & they want stocks at 25x P/E

So in the next few quarters I expect some bad inflation The Fed will just call it all one time / transient. They’ll cut into it. Stocks will get very excited but housing will stay broken as the long end won’t move And we will get ever crazier populism in government